The global market has witnessed growth
in recent times due to increasing consumer health awareness. In addition,
widening distribution channels and increased government regulation and
intervention are some of the other factors contributing towards the market
growth. Shorter shelf life of the organic products and high prices of the raw
materials are the major growth barriers of the market. However, increased
R&D efforts for new products development provides huge market opportunity
for the market players.

In 2012, organic food dominated the
global market and accounted for 80.6% share of the overall demand. Organic
fruits & vegetables led the food segment and accounted for 38.9% share of
the market and are expected to maintain their dominance over the next six
years. Organic dairy products are expected to grow at a CAGR of 14.1% from 2013
to 2019 due to advancement in technologies which provide products with an
extended shelf life. Organic meat, fish & poultry products occupied a very
small share in the current market but are expected to increase their market share
in future due to development of new and innovative products in this segment and
is expected to exhibit the fastest growth rate of 14.6% from 2013 to 2019.

Organic coffee & tea
and non dairy beverages were the market leaders in the organic beverages space.
Organic coffee & tea accounted for 39.8% of the total beverage revenue
share in 2012. Organic beer & wine beverage are expected to grow at a rate
of 24.5% from 2013 to 2019. Organic beverages markets are witnessing growth due
to increasing consumer awareness regarding health benefits associated with it.
Moreover, due to their finished quality and better formulation flexibility, the
market is witnessing a steady rise, which leads them to gain a significant
position in the market.

North America dominated the market and
accounted for over 48% of the global demand in 2012 followed by Europe which
accounted for 45.6% share for the same year. This dominance is driven by new
product launches and widening distribution channels. Growing demand for organic
food, increasing spending habits, life quality, and changing trends in
ethnicity are expected to drive organic food & beverages market in Asia
Pacific.

Most of the industry participants have
been relying on third party distributors to reach their target customers.
However, few giant companies have their own distribution and marketing network
across the world. Some of the major players of the market are Hain Celestial
Group Inc, Amy's Kitchen Inc, Organic Valley and others.

Transparency
Market Research (TMR) is a global market intelligence company, providing global
business information reports and services. Our exclusive blend of quantitative
forecasting and trend analysis provides forward-looking insight for thousands
of decision makers. TMR’s experienced team of Analysts, Researchers, and
Consultants, use proprietary data sources and various tools and techniques to
gather and analyze information.

Our
data repository is continuously updated and revised by a team of research
experts, so that it always reflects the latest trends and information. With a
broad research and analysis capability, Transparency Market Research employs
rigorous primary and secondary research techniques in developing distinctive
data sets and research material for business reports.